Who does mortgage fraud investigation?

Answer:

The FBI has been recently on mortgage fraud investigation, as foreclosure levels have hit a high. Under scrutiny fall major subprime lenders, as subprime ARMs are quoted as the great percentage of foreclosures.

Some Wall Street banks, large lenders and brokers are said to be investigated. Mortgage fraud has been identified as a looming problem for years. Also, mortgage fraud levels have risen outrageously to over 35,000 cases in 2006 compared to only 6,000 in 2003.

The FBI has opened criminal inquiries to check for violations mainly in subprime loans extended to borrowers who barely qualified.